HSToday
Summary
There are 570 data centers in the state of Virginia, the majority of which are in the northern portion of the state often referred to as Data Center Alley. Virginia has the largest and most concentrated data center market in the world, with some estimates indicating that the region handles up to 70% of global internet traffic. Several qualities make the region a prime location for data centers: a supply of reliable and affordable energy, a strong fiber network, flat land for building footprints, water for cooling, location near major national customers, educated and skilled labor force, and a state tax regime that incentivizes the development of data centers.
Another concern connected to data centers is energy waste. According to a report written by Reshape Strategies, “nearly all the electricity they consume ultimately winds up rejected as waste heat [into the atmosphere].” One suggested way to optimize energy use is to convey the wasted heat generated by data centers to heat for buildings through a district energy system (DES).3 These systems capture “wasted” heat from one building and use it to heat another, reducing consumption needs. DES are advantageous because they ensure reliable, stable heating, reduce peak power demand and grid load, and increase efficiency via economies of scale by capturing otherwise wasted energy.xxv Recycling wasted heat through a DES could “increase energy efficiency, lower Green House Gas (GHG) emissions, cut water consumption, reduce noise, and help make [data centers] a more attractive neighbor.”
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